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    Management Accounting
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    Exam 11: Setting Performance Expectations in Large, Complex Organizations
  5. Question
    A Minimum Transfer Price Should Cover the Marginal Cost of Producing
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A Minimum Transfer Price Should Cover the Marginal Cost of Producing

Question 35

Question 35

True/False

A minimum transfer price should cover the marginal cost of producing the transferred product plus any opportunity costs incurred by the selling division.

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